Pre-Institution Mediation under The Commercial Court Act, 2015 & The Commercial Courts (Pre-Institution Mediation & Settlement) Rules, 2018

Chapter 3(A) Pre-Institution Mediation and Settlement is inserted in the Commercial Court Act, 2015 vide The Commercial Courts, Commercial Division and Commercial Appellate division of High Courts (Amendment) Ordinance, 2018 dated 03 May, 2018, in which Section 12 A (1) is as under :-

"A suit, which does not contemplate any urgent Interim relief under this Act, shall not be instituted unless the plaintiff exhausts the remedy of pre-institution mediation in accordance with such manner and procedure as may be prescribed by rules made by the Central Government".

The Commercial Courts (Pre-Institution Mediation and Settlement) Rules, 2018 are also framed by Central Government which provides procedure regarding pre-institution mediation.

In the State of Madhya Pradesh commercial courts are working at following 07 places namely Indore, Bhopal, Jabalpur, Gwalior, Rewa, Singrauli and Burhanpur.

As per above mentioned act and rules pre-institution mediation is a mandatory condition before institution of every suit which does not contemplate any urgent Interim relief under The Commercial Court Act, 2015. All proceedings of pre-institution mediation are conducted through District Legal Services Authority.